MGM MIRAGE (NYSE: MGG) today reported earnings of 42 cents per diluted share for the three months ended September 30, 2000, compared with 10 cents per diluted share in the 1999 third quarter. Excluding preopening expenses and extraordinary items, the company reported a 29% increase in earnings per share to 45 cents per share for the 2000 third quarter, up from 35 cents per share in the prior year's quarter. These third quarter results exceeded the average estimate of 36 cents a share from analysts polled by First Call Corp.
Net income before preopening expenses and extraordinary items soared 73% to $73.2 million in the 2000 quarter from $42.4 million in the prior year's quarter as a result of record revenue and operating cash flow ("EBITDA"). These results reflect the continued strong performance from the company's casino and hotel operations, improved operating margins, and the impact of the historic acquisition of Mirage Resorts, Incorporated ("Mirage Resorts") on May 31, 2000. Revenue and EBITDA rose 172% and 171%, respectively, representing the seventh consecutive quarterly increase in revenue and EBITDA on a year-over-year basis.
On a pro forma basis to account for the Mirage Resorts acquisition in both years, revenue grew 8% to $1.1 billion while EBITDA rose 26% to $335.8 million, despite a slightly lower table game hold percentage in the recent period. Pro forma same-store net revenue increased 4% while same-store EBITDA grew an impressive 21%.
"Our business strategies are working as evidenced by the exceptional same-store operating performance across our broad-based portfolio," said J. Terrence Lanni, Chairman of the Board of MGM MIRAGE. "We have experienced strong occupancy company-wide in the current quarter, and future booking trends across all segments look solid going forward."
Third Quarter Company Highlights
-- Net revenue was an all-time record high of $1.1 billion
-- Earnings rose 29% to 45 cents per diluted share before preopening
expenses and extraordinary items
-- EBITDA increased to an all-time record $335.8 million
-- All operating properties produced significant free cash flow
-- Issued $850 million in Senior Notes
-- MGM MIRAGE announced agreements to sell approximately $66 million in
non-strategic assets bringing the total assets sold or under contract
to approximately $220 million since the acquisition of Mirage Resorts
-- Outstanding debt has been reduced by $470 million through the use of
free cash flow and upon completion of previously announced asset sales
-- MGM MIRAGE achieved cost savings ahead of targeted results
-- MGM MIRAGE sold its interest in the MGM Grand - Bally's Monorail to
make way for a four mile public transit elevated monorail system which
will connect 8 hotel/casinos and the Las Vegas Convention Center
-- MGM MIRAGE and Boyd Gaming broke ground on the joint venture Borgata
resort in Atlantic City
Company-Wide Operating Results
The company's consolidated net revenue of $1.1 billion for the three months ended September 30, 2000 set an all-time record, up 172% from the prior year's quarter of $400.4 million. Net revenue benefited from the acquisition of Mirage Resorts, which contributed $660.1 million in net revenue during the 2000 third quarter, and was aided by the incremental net revenue from MGM Grand Detroit, which commenced operations on July 29, 1999. EBITDA soared to an all-time record $335.8 million, up 171% from $123.9 million in the 1999 quarter. This increase reflects a full quarter contribution from Mirage Resorts and from MGM Grand Detroit. The company's 31% overall EBITDA margin remained consistent with the prior year's quarter.
"When we acquired Mirage Resorts we set ambitious goals in terms of cost savings, revenue enhancements and non-strategic asset sales," said James J. Murren, President and Chief Financial Officer of MGM MIRAGE. "We are well ahead of those targets in every respect. Annualized savings of approximately $117 million have been achieved, leverage has substantially declined, while marketing and technology strategies to build revenue are being implemented. We will continue to maximize the productivity of our assets, which are considered the best in the industry."
MGM Grand Las Vegas -- The City of Entertainment
MGM Grand Las Vegas -- The City of Entertainment produced net revenue and EBITDA of $193.7 million and $50.3 million, respectively for the three months ended September 30, 2000. This compares with $200.5 million and $50 million in the 1999 period. Both net revenue and EBITDA were affected by lower casino revenues as a result of a decrease in the table game hold percentage. These decreases were offset by a 10% growth in non-casino revenue. EBITDA margins continued to improve in the 2000 third quarter to 26%. Despite the lower casino revenues, casino volumes continued to outpace those of last year, as third quarter table game and slot volume grew 3% and 7%, respectively. Both table games volume (excluding baccarat) and slot win were all-time records for this property. Non-casino revenues benefited from record highs in room, and food and beverage revenue. Room revenue rose in the 2000 third quarter despite a 2% reduction in the available room nights due to a room-remodeling project, which was completed in August 2000. While occupancy decreased slightly to 99.2%, the average daily room rate ("ADR") increased 10% to $103 from $94 in the 1999 third quarter, while revenue per available room ("REVPAR") increased by $9 to $103.
Bellagio
Bellagio produced net revenue of $260.4 million for the three months ended September 30, 2000, a 6% increase over the $245.5 million reported in the third quarter of 1999. Ongoing expense reduction efforts led to a 5% decline in quarterly operating expenses, with a resulting 42% increase in EBITDA to $86.7 million in the 2000 third quarter. Quarterly EBITDA margin increased from 25% to 33%, a record for this two-year old resort. The growth in revenue was broad-based, with casino and non-casino revenue increasing 6% and 7%, respectively. Casino revenue benefited from a marginally higher table game hold percentage. Strong room, food and beverage, and entertainment results drove the increase in non-casino revenue. ADR and REVPAR each increased by $17 to $157 and $155, respectively, over the 1999 third quarter.
The Mirage
The Mirage also achieved strong increases in net revenue, EBITDA, and EBITDA margin versus the third quarter of 1999. Net revenue increased by 11% to $156.2 million, while EBITDA increased by 31% to $40.4 million. EBITDA margin was 26% versus the 22% recorded in the 1999 third quarter. Every category of non-casino revenue showed significant growth over the prior year. Entertainment revenue was particularly strong. The continued success of Siegfried and Roy, which had additional performances this quarter, as well as Danny Gans, who has played to sold-out audiences since his April debut at The Mirage, led to an $8.1 million increase in entertainment revenue. ADR and REVPAR each increased by $7 to $112 and $110, respectively and room occupancy increased slightly to 98.7%. Slot revenue for the third quarter of 2000 was an all-time record for The Mirage, growing by 12% over the 1999 third quarter, which more than offset small declines in table game volume and hold percentage.
New York - New York
New York - New York produced net revenue of $56.2 million during the third quarter, up 7% from $52.5 million in the prior year's quarter. EBITDA for the three months ended September 30, 2000 was $24.5 million compared with $23.7 million in 1999. EBITDA margin remained impressive at 44% during the 2000 third quarter. The increase in net revenue was a result of a 5% increase in casino revenue and a 9% increase in non-casino revenue. Casino revenue was higher in the 2000 third quarter as a result of a 6% and 5% increase in table game and slot volume, respectively. Non-casino revenue benefited from higher room revenue due to an increase in ADR from $79 to $84 and higher REVPAR from $77 to $83 during the 2000 third quarter. Room occupancy increased slightly to 98.6%.
Treasure Island
Treasure Island achieved significant increases in quarterly net revenue and EBITDA on a year-over-year basis, as it has each quarter since the September 1999 completion of a major room refurbishment program. Net revenue increased 12% to $95.4 million, while operating expenses were relatively flat, resulting in an increase of 51% in EBITDA, to $27.8 million. EBITDA margin increased from 22% in the third quarter of 1999 to 29% in the 2000 third quarter. Casino and non-casino revenue grew by 13% and 11%, respectively. Table game and slot revenues each showed double-digit increases over the prior-year period, as did room and entertainment revenue. Table game revenue benefited from an increase in hold percentage, while the increase in slot revenue was due to increased volume. Hotel revenue benefited from an 8% increase in available room nights as well as a $4 increase in ADR to $88 and an increase in REVPAR of $5 to $88. The growth in entertainment revenue was attributable primarily to increased ticket pricing. Management is currently adding more seating to meet the strong customer demand for Mystere.
Primm Properties
The Primm Properties (Whiskey Pete's, Buffalo Bill's and the Primm Valley Resort located in Primm, Nevada and two championship golf courses at the California/Nevada Stateline) produced net revenue for the 2000 third quarter of $63.1 million and EBITDA of $19.7 million, representing a 31.2% EBITDA margin. This compares with net revenue of $63.1 million, EBITDA of $19.3 million, and an EBITDA margin of 30.6% during the 1999 third quarter.
Golden Nugget Properties
The Golden Nugget in downtown Las Vegas produced $7.5 million of EBITDA in the 2000 third quarter, a 22% increase from the $6.1 million reported in the third quarter of 1999. Net revenue was relatively flat at $43.7 million, as increases in hotel and food and beverage revenue were largely offset by a small decline in casino revenue and a decline in entertainment revenue resulting from the elimination of showroom entertainment at the Golden Nugget. EBITDA at the Golden Nugget Laughlin doubled to $0.9 million, benefiting from a room refurbishment program which had resulted in an approximately 29% reduction in available room nights in the 1999 third quarter.
MGM Grand Detroit
MGM Grand Detroit produced net revenue of $106.7 million and EBITDA of $43.1 million for the three months ended September 30, 2000 when compared with net revenue and EBITDA of $72 million and $25 million, respectively, for the 64-day period in the 1999 third quarter. Management continues to focus on MGM Grand Detroit's profitability as evidenced by the 40% EBITDA margin in the 2000 third quarter. MGM Grand Detroit's free cash flow has allowed the company to reduce debt on its outstanding Detroit credit facility from a high of $181 million to its current balance of $85 million.
Beau Rivage
Beau Rivage continues to show earnings improvement, reporting the strongest quarterly operating results since its March 16, 1999 opening. Net revenue grew to $84 million and EBITDA increased to $20.3 million. This compares with $80.5 million and $17.4 million in the third quarter of 1999. EBITDA margin increased from 22% to 24%. The increase in net revenue is primarily attributable to growth in casino revenue, with increases in both table game and slot revenue. The increase in table game revenue reflects an increase in volume as well as an improvement in hold percentage. The increase in slot revenue resulted from a 21% increase in slot volume offset in part by a lower hold percentage. Hotel revenue increased 4% as a result of increases in occupancy and REVPAR. While ADR decreased $3 to $89, occupancy grew from 93.9% in the 1999 third quarter to 98.5% in 2000 while REVPAR grew by $2 to $88.
Monte Carlo
Monte Carlo reported net revenue of $69.6 million and EBITDA of $23.4 million compared with $65.3 million and $20.3 million, respectively, for the third quarter of 1999. The company's 50% share of this joint venture's results contributed $9 million to operating income for the three months ended September 30, 2000.
MGM Grand Australia
MGM Grand Australia reported net revenue of $9.8 million and EBITDA of $4.3 million in the 2000 third quarter compared with net revenue of $10.6 million and EBITDA of $4.3 million in the 1999 period. MGM Grand Australia's EBITDA margin grew from 41% in the 1999 period to 44% in the 2000 quarter. The decrease in net revenue and the flat EBITDA quarter-over-quarter is due to a lower currency exchange rate. MGM Grand Australia's actual net revenue and EBITDA in Australian dollars increased by 5% and 15%, respectively.
Corporate Activities
On September 20, 2000, the company and Park Place Entertainment sold their respective interests in the MGM Grand -- Bally's Monorail, LLC to The Las Vegas Monorail Company, a Nevada nonprofit corporation, thereby constituting the first mile segment of a future four mile, seven station, nine train public transit monorail system. Upon completion, which is anticipated in the first quarter of 2004, the elevated monorail will connect the MGM Grand Las Vegas, Paris, Bally's, the Flamingo, Imperial Palace, Harrah's, Las Vegas Hilton and the Sahara to the Las Vegas Convention Center, representing direct access to over 25,000 hotel rooms. With state-of-the-art Bombardier M-VI monorail trains arriving at each station every four minutes, a trip from the MGM Grand Las Vegas to the Las Vegas Convention Center will take approximately 13 minutes, including all stops.
On September 21, 2000, the company and Boyd Gaming broke ground on the $1 billion Borgata resort in Atlantic City, New Jersey. The 50-50 joint venture development will be the first new resort in Atlantic City in 13 years and the largest hotel in the market when it opens in 2003. Plans for the 40-story development include 2,010 guest rooms, approximately 120,000 square feet of casino space, several specialty restaurants and distinct boutiques, a European-style spa and an array of entertainment venues. The Borgata is the first development on MGM MIRAGE's 120-acre H-Tract site located in the Marina District of Atlantic City.
MGM MIRAGE is an entertainment, hotel and gaming company headquartered in Las Vegas, Nevada, which owns and/or operates through subsidiaries 18 casino properties on three continents. Its U.S. holdings include: the MGM Grand Hotel and Casino - The City of Entertainment, Bellagio, The Mirage, Treasure Island, New York - New York Hotel and Casino, the Boardwalk Hotel and Casino and 50% of Monte Carlo, all located on the Las Vegas Strip; the Golden Nugget in Downtown Las Vegas; Whiskey Pete's, Buffalo Bill's and the Primm Valley Resort in Primm, Nevada as well as two championship golf courses at the California/Nevada Stateline; the Golden Nugget in Laughlin, Nevada; the Beau Rivage resort on the Mississippi Gulf Coast; and the MGM Grand Detroit Casino in Detroit, Michigan. The company is a joint venture partner on a resort under development in Atlantic City, New Jersey and also controls several development sites in the ocean-front resort community. Internationally, MGM MIRAGE owns and operates the MGM Grand Hotel and Casino in Darwin, Australia and manages casinos in Nelspruit, Witbank and Johannesburg, Republic of South Africa.
For more information on MGM MIRAGE and its operating subsidiaries, visit our website at http://www.mgm-mirage.com/.
Statements in this release which are not historical facts are "forward looking" statements and "safe harbor statements" under the Private Securities Litigation Reform Act of 1995 that involve risks and/or uncertainties, including risks and/or uncertainties as described in the company's public filings with the Securities and Exchange Commission.
MGM MIRAGE AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands)
(Unaudited)
Three Months Ended Nine Months Ended
September 30, September 30, September 30, September 30,
2000 1999 2000 1999
Revenues:
Casino $613,650 $265,897 $1,297,515 $586,556
Rooms 211,873 67,262 402,363 197,007
Food and beverage 177,526 43,291 317,785 117,841
Entertainment,
retail and other 179,978 54,428 316,525 142,116
Income from
unconsolidated
affiliate 9,014 -- 11,754 6,084
1,192,041 430,878 2,345,942 1,049,604
Less: promotional
allowances 101,367 30,471 185,056 78,500
1,090,674 400,407 2,160,886 971,104
Expenses:
Casino 288,474 121,356 609,912 278,362
Rooms 64,724 24,328 124,924 67,495
Food and beverage 109,468 27,294 193,257 73,063
Entertainment,
retail and other 111,360 28,971 190,819 80,362
Provision for doubtful
accounts and
discounts 32,412 11,168 66,241 35,553
General and
administrative 148,518 63,348 296,461 141,599
Preopening expenses
and other 1,609 45,863 3,808 68,780
Restructuring costs -- -- 23,520 --
Write-Downs and
Impairments -- -- 102,225 --
Depreciation and
amortization 97,298 37,174 197,096 87,616
853,863 359,502 1,808,263 832,830
Operating Profit 236,811 40,905 352,623 138,274
Corporate Expense 11,985 2,279 24,156 11,515
Operating Income 224,826 38,626 328,467 126,759
Non-Operating Income
(Expense):
Interest income 2,553 750 10,278 1,447
Interest expense,
net (104,876) (19,476) (174,336) (39,627)
Interest expense
from unconsolidated
affiliate (921) -- (1,194) (1,058)
Other, net (185) (205) (694) (738)
(103,429) (18,931) (165,946) (39,976)
Pre-tax Income Before
Extraordinary Item and
Cumulative Effect of
Change in Accounting
Principle 121,397 19,695 162,521 86,783
Provision for
income taxes (49,283) (7,090) (64,363) (31,581)
Income Before
Extraordinary Item and
Cumulative Effect of
Change in Accounting
Principle 72,114 12,605 98,158 55,202
Extraordinary Item:
Loss on Early
Extinguishment of
Debt, net (4,683) -- (5,416) (898)
Cumulative Effect of
Change in Accounting
Principle:
Preopening Expenses,
net -- -- -- (8,168)
Net Income $67,431 $12,605 $92,742 $46,136
Income Before Preopening
and Other, Restructuring,
Write-Downs and
Impairments, Extraordinary
Item and Cumulative
Effect of Change in
Accounting Principle $73,160 $42,416 $182,367 $99,909
MGM MIRAGE AND SUBSIDIARIES
PER SHARE OF COMMON STOCK
(Unaudited)
Three Months Ended Nine Months Ended
September September September September
30, 30, 30, 30,
2000 1999 2000 1999
Per Share Of Common Stock:
Basic:
Income Before
Extraordinary Item and
Cumulative Effect of
Change in Accounting
Principle $0.45 $0.11 $0.70 $0.47
Extraordinary Item, net (0.03) -- (0.04) (0.01)
Cumulative Effect of
Change in Accounting
Principle, net -- -- -- (0.07)
Net Income Per Share $0.42 $0.11 $0.66 $0.39
Weighted Average Shares
Outstanding
(000's)(1) 158,848 117,612 140,649 117,524
Diluted:
Income Before Extraordinary
Item and Cumulative
Effect of Change in
Accounting Principle $0.45 $0.10 $0.69 $0.46
Extraordinary Item, net (0.03) -- (0.04) (0.01)
Cumulative Effect of
Change in Accounting
Principle, net -- -- -- (0.07)
Net Income Per Share $0.42 $0.10 $0.65 $0.38
Weighted Average Shares
Outstanding
(000's)(1) 162,367 121,366 143,326 121,010
MGM MIRAGE AND SUBSIDIARIES
SUPPLEMENTAL DATA PER SHARE OF COMMON STOCK
(Unaudited)
Three Months Ended Nine Months Ended
September September September September
30, 30, 30, 30,
2000 1999 2000 1999
Per Share Of Common Stock:
Basic:
Net Income Before
Preopening and other,
Restructuring,
Write-Downs and
Impairments,
Extraordinary Item and
Cumulative Effect of
Change in Accounting
Principle $0.45 $0.36 $1.30 $0.85
Preopening expenses
and Other -- (0.25) (0.02) (0.38)
Restructuring costs -- -- (0.11) --
Write-Downs and
Impairments -- -- (0.47) --
Extraordinary Item, net (0.03) -- (0.04) (0.01)
Cumulative Effect of
Change in Accounting
Principle, net -- -- -- (0.07)
Net Income Per Share $0.42 $0.11 $0.66 $0.39
Weighted Average Shares
Outstanding
(000's)(1) 158,848 117,612 140,649 117,524
Diluted:
Net Income Before
Preopening and other,
Restructuring,
Write-Downs and
Impairments,
Extraordinary Item and
Cumulative Effect of
Change in Accounting
Principle $0.45 $0.35 $1.27 $0.83
Preopening expenses and
Other -- (0.25) (0.02) (0.37)
Restructuring costs -- -- (0.10) --
Write-Downs and
Impairments -- -- (0.46) --
Extraordinary Item, net (0.03) -- (0.04) (0.01)
Cumulative Effect of
Change in Accounting
Principle, net -- -- -- (0.07)
Net Income Per Share $0.42 $0.10 $0.65 $0.38
Weighted Average Shares
Outstanding
(000's)(1) 162,367 121,366 143,326 121,010
Note:
(1) All references to share and per share data herein have been adjusted
retroactively to give effect to the 2 for 1 stock split.
MGM MIRAGE AND SUBSIDIARIES
SUPPLEMENTAL DATA - PROPERTY OPERATING RESULTS
(in thousands)
Three Months Ended Nine Months Ended
September 30, September 30, September 30, September 30,
2000 1999 2000 1999
NET REVENUES:
MGM Grand Las Vegas $193,696 $200,450 $614,308 $587,128
Bellagio (1) 260,367 -- 329,172 --
The Mirage (1) 156,151 -- 205,625 --
New York-New York (2) 56,190 52,547 165,845 127,129
Treasure Island (1) 95,440 -- 124,407 --
Primm Properties (2) 63,107 63,054 186,683 144,849
Golden Nugget
Las Vegas (1) 43,700 -- 57,632 --
Golden Nugget
Laughlin (1) 11,384 -- 15,012 --
MGM Grand Detroit (3) 106,690 72,020 308,996 72,020
Beau Rivage (1) 84,039 -- 109,944 --
MGM Grand Australia 9,830 10,586 28,078 27,128
Income from Unconsol.
Affiliates (1) (4) 9,014 - 11,754 6,084
MGM Grand South
Africa 1,280 1,893 4,048 7,237
Eliminations
and Other (214) (143) (618) (471)
$1,090,674 $400,407 $2,160,886 $971,104
EBITDA:
MGM Grand Las Vegas $50,285 $49,965 $167,339 $143,553
Bellagio (1) 86,711 -- 103,689 --
The Mirage (1) 40,429 -- 52,678 --
New York-New York (2) 24,545 23,652 73,774 58,740
Treasure Island (1) 27,831 -- 35,582 --
Primm Properties (2) 19,738 19,256 60,411 45,094
Golden Nugget
Las Vegas (1) 7,481 -- 9,700 --
Golden Nugget
Laughlin (1) 908 -- 1,267 --
MGM Grand Detroit (3) 43,146 24,982 122,574 24,982
Beau Rivage (1) 20,277 -- 25,685 --
MGM Grand Australia 4,345 4,301 11,323 10,395
Income from Unconsol.
Affiliates (1) (4) 9,014 -- 11,754 6,084
MGM Grand South
Africa 1,259 1,882 3,974 6,121
Eliminations
and Other (169) (96) (478) (299)
$335,800 $123,942 $679,272 $294,670
Note:
(1) The Company acquired Mirage Resorts, Incorporated on May 31, 2000,
thereby acquiring the Mirage Properties and 50% ownership in the
Monte Carlo Resort & Casino.
(2) The Company acquired Primadonna Resorts, Inc. on March 1, 1999,
thereby acquiring the Primm Properties and the remaining 50% of
New York-New York.
(3) MGM Grand Detroit commenced operations on July 29, 1999.
(4) The 1999 results reflect two months of the Company's 50% share of
New York-New York's income before New York-New York became a
wholly-owned subsidiary of the Company on March 1, 1999.
MGM MIRAGE AND SUBSIDIARIES
SUPPLEMENTAL DATA - PRO FORMA PROPERTY OPERATING RESULTS
(in thousands)
Three Months Ended Nine Months Ended
September 30, September 30, September 30, September 30,
2000 1999(1) 2000(1) 1999(1)
NET REVENUES:
MGM Grand Las Vegas $193,696 $200,450 $614,308 $587,128
Bellagio 260,367 245,491 733,763 722,024
The Mirage 156,151 140,127 481,453 436,265
New York-New York 56,190 52,547 165,845 162,293
Treasure Island 95,440 85,378 283,520 258,352
Primm Properties 63,107 63,054 186,683 182,950
Golden Nugget
Las Vegas 43,700 43,533 135,765 136,215
Golden Nugget
Laughlin 11,384 11,425 36,693 37,982
MGM Grand Detroit(2) 106,690 72,020 308,996 72,020
Beau Rivage (3) 84,039 80,528 242,822 171,526
MGM Grand Australia 9,830 10,586 28,078 27,128
Income from Unconsol.
Affiliate 9,014 7,637 28,316 25,668
MGM Grand South
Africa 1,280 1,893 4,048 7,237
Eliminations
and Other (214) (143) (618) (471)
$1,090,674 $1,014,526 $3,249,672 $2,826,317
EBITDA:
MGM Grand Las Vegas $50,285 $49,965 $167,339 $143,553
Bellagio 86,711 61,272 206,527 172,864
The Mirage 40,429 30,918 131,862 109,891
New York-New York 24,545 23,652 73,774 74,770
Treasure Island 27,831 18,390 83,332 64,509
Primm Properties 19,738 19,256 60,411 54,031
Golden Nugget
Las Vegas 7,481 6,141 27,045 25,392
Golden Nugget
Laughlin 908 450 5,146 4,607
MGM Grand Detroit (2) 43,146 24,982 122,574 24,982
Beau Rivage (3) 20,277 17,361 55,679 28,529
MGM Grand Australia 4,345 4,301 11,323 10,395
Income from Unconsol.
Affiliate 9,014 7,637 28,316 25,668
MGM Grand South
Africa 1,259 1,882 3,974 6,121
Eliminations
and Other (169) (96) (479) (299)
$335,800 $266,111 $976,823 $745,013
Note:
(1) Pro forma amounts include the results of operations for the periods
presented before non-recurring expenses as if the acquisitions had
occurred at the beginning of each period. The acquisition of
Primadonna Resorts, Inc. and Mirage Resorts, Incorporated occurred on
March 1, 1999 and May 31, 2000, respectively.
(2) MGM Grand Detroit commenced operations on July 29, 1999.
(3) Beau Rivage commenced operations on March 16, 1999.
MGM MIRAGE AND SUBSIDIARIES
SUPPLEMENTAL STATISTICAL INFORMATION
Three Months Ended Nine Months Ended
September 30, September 30, September 30, September 30,
2000 1999 2000 1999
ROOM STATISTICS:
MGM Grand Las
Vegas (5,034 Rooms)
Occupancy % 99.2% 99.8% 98.5% 98.8%
Average Daily Rate (ADR) $103 $94 $108 $101
Revenue per Available
Room (REVPAR) $103 $94 $106 $100
Bellagio (1)
(3,005 Rooms)
Occupancy % 98.8% 98.8% 98.7% 99.0%
Average Daily Rate (ADR) $157 $140 $166 $150
Revenue per Available
Room (REVPAR) $155 $138 $164 $148
The Mirage (1)
(3,044 Rooms)
Occupancy % 98.7% 98.2% 97.8% 98.4%
Average Daily Rate (ADR) $112 $105 $117 $112
Revenue per Available
Room (REVPAR) $110 $103 $114 $110
New York-New York (2)
(2,024 Rooms)
Occupancy % 98.6% 98.1% 97.3% 98.5%
Average Daily Rate (ADR) $84 $79 $87 $84
Revenue per Available
Room (REVPAR) $83 $77 $85 $82
Treasure Island (1)
(2,885 Rooms)
Occupancy % 99.3% 99.3% 99.3% 99.0%
Average Daily Rate (ADR) $88 $84 $94 $91
Revenue per Available
Room (REVPAR) $88 $83 $93 $90
Primm Properties (2)
(2,642 Rooms)
Occupancy % 65.3% 76.8% 66.0% 72.2%
Average Daily Rate (ADR) $39 $33 $38 $32
Revenue per Available
Room (REVPAR) $26 $25 $25 $23
Golden Nugget Las Vegas (1)
(1,907 Rooms)
Occupancy % 98.2% 98.5% 98.0% 98.5%
Average Daily Rate (ADR) $54 $53 $57 $56
Revenue per Available
Room (REVPAR) $53 $52 $56 $55
Golden Nugget Laughlin (1)
(300 Rooms)
Occupancy % 91.9% 94.7% 93.9% 96.3%
Average Daily Rate (ADR) $35 $36 $36 $35
Revenue per Available
Room (REVPAR) $32 $34 $33 $34
Beau Rivage (1)
(1,780 Rooms)
Occupancy % 98.5% 93.9% 97.5% 87.8%
Average Daily Rate (ADR) $89 $92 $84 $94
Revenue per Available
Room (REVPAR) $88 $86 $82 $82
MGM Grand Australia
(96 Rooms)
Occupancy % 92.2% 95.8% 81.6% 76.1%
Average Daily Rate (ADR) $66 $72 $64 $67
Revenue per Available
Room (REVPAR) $61 $69 $52 $51
Note:
(1) The Company acquired Mirage Resorts, Incorporated on May 31, 2000
thereby acquiring the Mirage Properties and 50% ownership in the
Monte Carlo Resort & Casino. The statistics for the Mirage
Properties reflect a full nine months for the periods presented.
(2) The Company acquired Primadonna Resorts, Inc. on March 1, 1999,
thereby acquiring the Primm Properties and the remaining 50% of
New York-New York. The statistics for the Primm Properties and
New York-New York reflect a full nine months for the periods
presented.
MGM MIRAGE AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share data)
(Unaudited)
ASSETS
September 30, December 31,
2000 1999
CURRENT ASSETS:
Cash and cash equivalents $211,272 $121,522
Accounts receivable, net 178,139 83,101
Prepaid expenses 65,893 32,598
Inventories 85,156 15,240
Income tax receivable 9,698 --
Deferred tax asset 146,713 17,452
Total current assets 696,871 269,913
PROPERTY AND EQUIPMENT, NET 9,207,239 2,390,524
OTHER ASSETS:
Investment in unconsolidated affiliates 395,674 12,485
Excess of purchase price over fair
market value of net assets acquired, net 64,089 36,550
Deposits and other assets, net 358,186 51,271
Total other assets 817,949 100,306
$10,722,059 $2,760,743
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $63,932 $45,914
Income taxes payable -- 3,296
Dividend payable -- 11,388
Current obligation, capital leases 5,945 5,145
Current portion-long term debt 6,725 7,852
Accrued interest on long term debt 60,206 18,915
Other accrued liabilities 528,826 197,580
Total current liabilities 665,634 290,090
DEFERRED REVENUES 3,801 4,241
DEFERRED INCOME TAXES 1,682,598 108,713
LONG TERM OBLIGATION, CAPITAL LEASES 8,132 12,864
LONG TERM DEBT 6,026,922 1,310,989
COMMITMENTS and CONTINGENCIES
STOCKHOLDERS' EQUITY:
Common stock ($.01 par value,
300,000,000 shares authorized,
163,056,609 and 138,445,048 shares
issued) 1,631 1,384
Capital in excess of par value 2,039,337 1,261,625
Treasury stock, at cost (4,059,000
and 24,565,200 shares) (83,683) (505,824)
Retained earnings 359,954 267,165
Other comprehensive income 17,733 9,496
Total stockholders' equity 2,334,972 1,033,846
$10,722,059 $2,760,743
SOURCE: MGM MIRAGE
Contact: Investment Community, James J. Murren, President and Chief
Financial Officer, 702-693-8877, or Media, Alan Feldman, Vice President,
Public Affairs, 702-693-7147, both of MGM MIRAGE
Website: http://www.mgm-mirage.com/
Company News On-Call: http://www.prnewswire.com/comp/000725.html or fax,
800-758-5804, ext. 000725